Indian Crypto Exchange, CoinDCX, Raises $2.5M Led by Polychain Capital and Coinbase Ventures
India's leading crypto exchange, CoinDCX, has secured $2.5 million in new funding round from Polychain Capital and Coinbase Ventures. This comes shortly after its recent series A funding where the exchange raised $3 million. It is now looking to expand aggressively within the Indian market after the ease of the country's crypto ban by the Supreme Court.
Following these milestones, CoinDCX's head of corporate development and investor relations, Shan Aggarwal is optimistic that the exchange will dominate India's crypto scene. Recent months have seen the platform record a new daily volume high of $15 million with a new membership of over 50,000 users. Notably, its series A funding was also led by Polychain Capital and had attracted prominent investors such as the HDR Group and Bain Capital.
CoinDCX's New $2.5 Million Funding
The newly injected funds into the CoinDCX capital base are set to increase the company's market share while encouraging crypto adoption in India. According to the announcement on May 25, CoinDCX will use it's already running ‘TryCrypto' campaign to realize mass integration into the crypto economy. This initiative was launched back in March with CoinDCX committing $1.3 million towards crypto awareness and adoption.
With the $2.5 million boost, CoinDCX is better placed to advance the crypto adoption narrative in India's growing market. The company's CEO and Co-founder, Sumit Gupta, said that the boost is a signal of CoinDCX's long-term prospects,
“a shot of confidence in our roadmap toward bringing the crypto asset class to a largely untapped Indian market.”
Gupta has since told The Block that CoinDCX will launch a center of excellence in India geared towards crypto adoption. In addition, the platform will expand its range of services to include lending products for the retail market. In doing so, the exchange aims to onboard 50 million new users under the ‘TryCrypto' initiative; this will be done through community engagements, meetups, and educational forums.
CoinDCX has been extremely busy since the crypto ban was lifted. Here are just a few of the announcements they made in Q1 2020:
- BitGo to Provide Custodian Services to India’s Largest Crypto Exchange CoinDCX
- First Indian Crypto Exchange to Add Bank Transfer Support After RBI Ban Is Lifted
- OKEx, CoinDCX Exchange Form Partnership to Offer Leveraged Futures in India
India's Promising Crypto Market
As mentioned earlier, the Indian market is gradually opening up after crypto ban since July 2018. These developments seem to be getting quick reactions from investors and innovators within India's jurisdiction.
Despite having one of the longest COVID-19 lockdowns, exchanges like WazirX and CoinDCX recorded impressive numbers in Q1, 2020. The former grew by 80% month-on-month between March and April while CoinDCX gained 47% in new users a week after the ban was lifted. Coinbase, one of the largest crypto exchanges globally, also moved into the Indian market in April to offer its trading services and crypto-to-crypto conversions.